This study begins with an interest in community capacity, the basis for mobilizing community action and the driving force of community development. The study aims to identify the structural equation model of community capacity, social participation, satisfaction in life, and the impact relationship and to verify the differences between urban and rural areas. The analysis data used the 2018Korean Social Integration Survey, which is the statistical data for national approval. The analysis method was performed by using SPSS was used to perform descriptive analysis and t-test, and the structural equation model. Multi-group analysis of AMOS was also performed to verify the research model. As the result of analysis, both the condition and status of community capacity and social participation, which are products of community capacity, showed a higher average of rural areas than urban areas. As a result of the analysis of the structural equation model between community capacity, social participation, and life satisfaction, differences between rural and urban groups were identified. In rural areas, both the capacity-condition and the capacity-status variables act as positive factors for social participation and life satisfaction, but in urban areas, the path of capacity-condition, social participation, capacity-status and life satisfaction was significant. On the other hand, social participation variables acted as a factor of direct and indirect negatively influence on life satisfaction. Therefore, it can be said that the quality of community capacity in rural areas is superior to that of urban areas.